(Reuters) – German Chancellor Olaf Scholz stopped Tuesday the certification for the Nord Stream 2 pipeline that will bring Russian gas into Germany. This is widely considered to be the most difficult measure Europe can take at the moment against Moscow.

These are the reactions to this decision.

EUROPEAN COMMISSION

Nord Stream 2 has not been activated and it is not supplying electricity to Europe. It isn’t a source of alternative energy; it’s an alternate pipeline for an already existing supplier. The current state of affairs is unchanged.”

RUSSIAN ENERGY MINISTER

Nikolay Shulginov, Russian energy minister, stated that Europe will not be able replace large quantities of Russian natural gas with liquefied gas from other countries.

GAS ANALYST LEON IZBICKI – ENERGY ASPECTS

We believe Russia will fulfill its contractual deliveries to Europe. This is estimated at around 142 billion dollars. However, Russia won’t send more than this amount.

“But, it is widely believed that the certification of Nord Stream 2 would result in incremental Russian flows.

“NS2 Certification was unlikely to be completed in Q4-22 at earliest. The announcement has an impact on prices farther along the curve than it does on the near curve.”

GAS MARKET REACTION

European gas markets saw prices rise, particularly for delivery of later in the year or into 2023.

Dutch Q4 2022 prices traded at 79.65 Euros/MWh, almost 12 percent more than Monday.

The price of the winter 2023 contract was up 13.8%, to 51.88 Euros/MWh